While that number is large, contribution margin most of those firms are small agencies that handle relatively few clients compared to the big competition. The largest firms in the country pull in billions of dollars in revenue annually and employ tens of thousands of people. On the other hand, the smallest successful brokers and agents typically see less than a million dollars come through their doors each year. One reason Enrolled Agent salaries across America are so widespread is that Enrolled Agents can hold various positions.
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- Before delving too deeply into this field as a career option, it’s important to understand EA salaries to determine if this is the right career choice for you.
- Well, according to Salary.com, the national average salary for an Enrolled Agent is just over $43,600.
- In order to become a certified public accountant, candidates are required to complete a minimum of 150 undergraduate hours.
- When it comes to jobs in accounting and finance, many people consider becoming CPAs, while few think about the option of becoming enrolled agents.
Due to the fact that this type of work can be quite complex, the job of an EA is often in high demand. In general, CPAs earn more than EAs in all career levels; however, the CPA credential requires significantly more schooling, time and up-front costs than the EA credential. Additionally, the EA credential is more client-focused, with a variety of career paths.
- If you don’t currently have the IRS experience to become an Enrolled Agent, you’ll need to pass the EA exam.
- Anyone is allowed to sit for the enrolled agent exam, which is not the case for the CPA exam.
- Entry-level positions typically start lower, while those in senior roles can expect increased compensation.
- Note that the website may still be a third-party website even the format is similar to the Becker.com website.
- The lowest average enrolled agent salary states are Virginia, Tennessee, and West Virginia.
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Learn how becoming a tax expert can help you excel at firms of all sizes on our Enrolled Agents at the Big 4 blog. Large firms are willing and able to pay a premium to attract top talent. The larger the company, the higher the pay for a given role, and the better defined your career path will be. They prepare tax reports, ensure the accuracy of the company’s tax documents, and are responsible for handling any issues. They must stay up to date on relevant tax laws and often communicate across departments to ensure the entire firm is complying with accounting procedures.
Continuing Education
Senior level internal revenue agents can earn a healthy income in the accounting world. Individuals who are considering a new career path may find that becoming an enrolled agent is the right choice. The National Association of Enrolled Agents reports that there are more than 50,000 enrolled agents working in the United States as well as abroad. Before delving too deeply into this field as a career option, it’s important to understand EA salaries to determine if this is the right career choice for you. Compare enrolled agent salaries for cities or states with the national average over time. If your goal is to work at one of the Big 4 accounting firms, the Enrolled Agent designation is one way to stand out from other applicants.
Average enrolled agent salary by state
Whether you’re seeking career advancement or educational success, Bryce Welker is the ultimate guide to help you get there. During tax season, these agents review and prepare tax returns for both individuals and businesses. Unlike CPAs, enrolled agents become nationally certified, so they can practice in any state with the same certification. Enrolled agents are specialized tax practitioners who are certified to represent taxpayers in dealings with the IRS.
In order to become an Enrolled Agent, you must satisfy the EA requirements of Treasury Department Circular 230. This document explains that you can obtain an Enrolled Agent designation in 1 of 2 ways. The first is by passing the Special Enrollment Examination (SEE), which has 3 parts. The highest paying types of enrolled agents are insurance broker, licensed insurance producer, and insurance producer. The highest-paying cities for enrolled agents are Green Bay, WI, San Francisco, CA, and Southfield, MI. Tax managers handle all the tax reporting and compliance with local, state, and federal tax laws for an organization.
Mid-Level Professionals:
The average enrolled https://www.zerodegreecommunication.com/2025/10/21/what-are-trade-payables-in-accounting-definition/ agent salary in Alaska, Wisconsin, and Washington are the highest in the U.S. The lowest average enrolled agent salary states are Virginia, Tennessee, and West Virginia. Big cities have more job opportunities and a larger pool of skilled workers, but they also typically have a higher cost of living, so location isn’t everything.
What’s more, Enrolled Agents often fill the roles of both tax accountant and tax attorney. In many cases, clients call upon the expertise of Enrolled Agents in complex tax situations where audits are likely. So, as the tax preparer, an Enrolled Agent is the most qualified to explain enrolled agent salary and defend the choices made during preparation. Compare enrolled agent salaries for individual cities or states with the national average.
